WASHINGTON (AP) — The rich and the almost rich would make out well under the House Republican bill to dismantle Barack Obama’s Affordable Care Act. The old and the poor, not so much.
The measure would repeal major parts of Obama’s health law, capping future funding for Medicaid and cutting tax increases for high-income families, health insurance companies and drugmakers.
The bill would repeal tax credits that people can use to purchase health insurance and replace them with a new tax credit that is less generous for most.
The winners, losers and a few in between:
-The rich. The GOP health plan includes nearly $1 trillion in tax cuts over the next decade, and much of that would go to the very wealthy. Families making more than $1 million a year will get tax cuts averaging more than $51,000, according to an analysis by the nonpartisan Tax Policy Center.
-The well-off (but not quite rich). Families making more than $200,000 a year will get tax cuts averaging $5,680.
Also, people with higher incomes would be eligible for tax credits under the GOP plan. These tax credits are used to help pay insurance premiums for people who don’t have insurance at work or from federal programs like Medicare.
-Medical device makers. The bill repeals a tax on medical devices, saving the industry $20 billion over the next decade.
-Drugmakers. The bill would repeal a tax on prescription drugs, saving the industry $29 billion over the next decade.
-Young adults. The bill would allow insurers to charge higher premiums as people age and become more susceptible to health problems. Because of this provision, the nonpartisan Congressional Budget Office estimates that younger patients would see their premiums drop.
-Healthy people who choose not to have health insurance. The bill would repeal penalties for not having health insurance.
-Large companies that don’t provide health benefits for employees. The bill would repeal penalties on these employers.
-Some 24 million additional people who won’t have health insurance. Under the House GOP plan, 24 million fewer people would be insured by 2026, according to the nonpartisan Congressional Budget Office.
-Individuals ages 50 to 64. Premiums would go up and tax credits for most of these people would go down. Premium costs for a 64-year-old making $26,500 a year would increase by $12,900 for a single year, according to the CBO.
-The poor. The bill would limit future spending on Medicaid, the health insurance program for the poor, reducing their benefits.
-The working poor. The bill raises taxes for some low-income families because the new tax credits for buying health insurance are smaller than the credits under Obama’s health law.
For example, families making between $20,000 and $30,000 would get tax increases averaging $200, according to the Tax Policy Center.
-Planned Parenthood. The bill eliminates all federal funds for the organization that provides health care to women.
A BIT OF BOTH
-Health insurance companies. The bill repeals a tax on health insurance companies, saving them $145 million over the next decade. However, these companies are projected to lose 24 million customers by 2026.
-States. The bill limits the future growth of Medicaid spending, pushing the cost to the states. But the bill also provides much more flexibility to states on how they spend this money.